Termination of Affiliate Agreement

Termination of Affiliate Agreements: What You Need to Know

When it comes to affiliate marketing, the relationship between the affiliate and the merchant is crucial for both parties. However, there may come a time when the affiliate agreement needs to be terminated. This can be for various reasons such as poor performance, violation of terms, or simply the end of a campaign. In this article, we will discuss the steps involved in the termination of an affiliate agreement.

1. Review the Agreement

The first step to terminating an affiliate agreement is to review the terms of the agreement thoroughly. This includes the termination clause, which should outline the process for terminating the agreement, including the notice period required. Make sure you understand the terms and conditions of the agreement and the specific reasons for termination.

2. Communicate with the Affiliate

Once you’ve reviewed the agreement, you need to communicate with the affiliate. This can be done through email or phone, but keep in mind that written documentation is always preferable. Let the affiliate know the reasons for termination and provide any specific instructions they need to follow before the termination date.

3. Provide Notice

Most affiliate agreements require a notice period before termination. This can vary from 7 to 30 days, depending on the agreement. Make sure you provide the required notice period before the termination date to avoid any legal consequences.

4. Settle Any Outstanding Payments

Before terminating the agreement, you need to settle any outstanding payments owed to the affiliate. This includes any commission payments that are due or any refunds owed to customers. Failure to settle outstanding payments could lead to legal action being taken against you.

5. Terminate the Agreement

Once you’ve completed all steps, terminate the affiliate agreement. This can be done through email or by sending a formal termination letter via post. Include details such as the date of termination, any outstanding payments due, and the reason for termination.


Terminating an affiliate agreement can be challenging, but it’s necessary to maintain a healthy and productive relationship between the affiliate and the merchant. Follow the steps outlined above to make the process as smooth as possible. Remember to keep all communication and documentation clear, concise, and professional. By terminating an agreement correctly and efficiently, you can save yourself from legal troubles and maintain your business`s reputation.